Takeovers Panel dismisses AFIC complaint on HDF

The Takeovers Panel has dismissed an attempt by Australian Foundation Investment Co to force
Hastings Diversified Utilities Fund
(HDF) into a full independent assessment of bringing management in house before shareholders have to decide whether to accept a takeover offer.

In a statement released Tuesday morning by Allan Bulman, director of the panel, the regulator said it had declined to conduct proceedings on AFIC’s application because of was “premature" given HDF was yet to release its target’s statement in response to a $1.25 billion bid from Pipeline Partners and a proposed independent export report has not yet been provided.

Pipeline Partners’ all-cash bid has since been trumped by a higher cash and scrip offer from APA Group worth about $1.3 billion.

AFIC, which owns about 5.1 per cent of HDF, has been a long-term supporter of an internalised management structure for HDF. It told the panel that it was not able to form a view whether to accept the Pipeline Partners bid without being able to weigh it up against the option of HDF taking its management internal.